basic15_ppt

50 %
50 %
Information about basic15_ppt
Business-Finance

Published on January 13, 2009

Author: aSGuest10332

Source: authorstream.com

Chapter Fifteen : Chapter Fifteen The Global Marketplace Slide 2: Copyright 2007, Prentice Hall, Inc. 15-2 Discuss how the international trade system, economic, political-legal, and cultural environments affect a company’s international marketing decisions. Describe three key approaches to entering international markets. Explain how companies adapt their marketing mixes for international markets. Identify the three major forms of international marketing organization. Case Study : Copyright 2007, Prentice Hall, Inc. 15-3 Background Established in 1893 in Atlanta pharmacy. 1900: Coke was available in foreign countries. 1940s: built bottling plants abroad to supply soldiers. Growth fueled by strong marketing: “I’d like to buy the world a Coke” TV ad. Now in emerging markets. Coca-Cola – Successfully Going Global Case Study How They Did It Balances brand building and global standardization with local adaptation. Consistent positioning, packaging, and taste. Brands, flavors, ads, price, distribution, and promotions are adapted to local markets. Sprite: a global success. Global Marketing in the 21st Century : Copyright 2007, Prentice Hall, Inc. 15-4 Global Marketing in the 21st Century The world is shrinking rapidly with the advent of faster communication, transportation, and financial flows. International trade is booming and accounts for 20% of GDP worldwide. Global competition is intensifying. Higher risks with globalization. Major International Marketing Decisions : Copyright 2007, Prentice Hall, Inc. 15-5 Major International Marketing Decisions Looking at the global marketing environment. Deciding whether to go international. Deciding which markets to enter. Deciding how to enter the market. Deciding on the global marketing program. Deciding on the global marketing organization. Looking at the Global Marketing Environment : Copyright 2007, Prentice Hall, Inc. 15-6 Looking at the Global Marketing Environment The International Trade System: Restrictions—tariffs, quotas, embargos, exchange controls, and nontariff trade barriers. The World Trade Organization and GATT: Helps trade—reduces tariffs and other international trade barriers. Regional Free Trade Zones: Groups of nations organized to work toward common goals in the regulation of international trade. Economic Environment : Copyright 2007, Prentice Hall, Inc. 15-7 Economic Environment Industrial Structure: Shapes a country’s product and service needs, income levels, and employment levels. Four types: Subsistence economies Raw material exporting economies Industrializing economies Industrial economies Political-Legal Environment : Copyright 2007, Prentice Hall, Inc. 15-8 Political-Legal Environment Attitudes toward international buying Government bureaucracy Political stability Monetary regulations Countertrade Barter Compensation Counterpurchase Cultural Environment : Copyright 2007, Prentice Hall, Inc. 15-9 Cultural Environment Sellers must examine the ways consumers in different countries think about and use products before planning a marketing program. Business norms and behavior vary from country to country. Companies that understand cultural nuances can use them to advantage when positioning products internationally. Deciding Whether to Go International : Copyright 2007, Prentice Hall, Inc. 15-10 Deciding Whether to Go International Reason to consider going global: Foreign attacks on domestic markets. Foreign markets with higher profit opportunities. Stagnant or shrinking domestic markets. Need larger customer base to achieve economies of scale. Reduce dependency on single market. Follow customers who are expanding. Deciding Which Markets to Enter : Copyright 2007, Prentice Hall, Inc. 15-11 Deciding Which Markets to Enter Before going abroad, the company should try to define its international marketing objectives and policies. What volume of foreign sales is desired? How many countries to market in? What types of countries to enter? Choose possible countries and rank based on market size, market growth, cost of doing business, competitive advantage, and risk. Market Entry Strategies : Copyright 2007, Prentice Hall, Inc. 15-12 Market Entry Strategies Exporting: Indirect: Working through independent international marketing intermediaries. Direct: Company handles its own exports. Market Entry Strategies : Copyright 2007, Prentice Hall, Inc. 15-13 Market Entry Strategies Joint Venturing: Joining with foreign companies to produce or market products or services. Approaches: Licensing Contract manufacturing Management contracting Joint ownership Market Entry Strategies : Copyright 2007, Prentice Hall, Inc. 15-14 Market Entry Strategies Direct Investment: The development of foreign-based assembly or manufacturing facilities. This approach has both advantages and disadvantages which must be carefully evaluated before making a decision. Deciding on the Global Marketing Program : Copyright 2007, Prentice Hall, Inc. 15-15 Deciding on the Global Marketing Program Standardized Marketing Mix: Selling largely the same products and using the same marketing approaches worldwide. Adapted Marketing Mix: Producer adjusts the marketing mix elements to each target market, bearing more costs but hoping for a larger market share and return. Global Product Strategies : Copyright 2007, Prentice Hall, Inc. 15-16 Global Product Strategies Straight Product Extension: Marketing a product in a foreign market without any change. Product Adaptation: Adapting a product to meet local conditions or wants in foreign markets. Product Invention: Creating new products or services for foreign markets. Global Promotion Strategies : Copyright 2007, Prentice Hall, Inc. 15-17 Global Promotion Strategies Can use a standardized theme globally, but may have to make adjustments for language or cultural differences. Communication Adaptation: Fully adapting an advertising message for local markets. Changes may have to be made due to media availability. Global Pricing Strategies : Copyright 2007, Prentice Hall, Inc. 15-18 Global Pricing Strategies Companies face many problems in setting their international prices. Standard pricing methods such as uniform pricing, standard markup of costs everywhere, or charging what the market will bear ignores cost differentials and local market conditions. Global Pricing Strategies : Copyright 2007, Prentice Hall, Inc. 15-19 Global Pricing Strategies International prices tend to be higher than domestic prices because of price escalation. Companies may become guilty of dumping when a foreign subsidiary charges less than its costs or less than it charges in its home market. The Internet makes global price differences obvious and the euro has reduced the amount of price differentiation. Global Distribution : Copyright 2007, Prentice Hall, Inc. 15-20 Global Distribution International firms must take a whole-channel view of distributing products to final consumers. Differences in the numbers and types of intermediaries serving each foreign market requires time and money to navigate. Size and character of retail units differ as well, presenting challenges. Deciding on the Global Marketing Organization : Copyright 2007, Prentice Hall, Inc. 15-21 Deciding on the Global Marketing Organization Organize an export department Create international divisions Geographical organizations World product groups International subsidiaries Become a global organization Slide 22: Copyright 2007, Prentice Hall, Inc. 15-22 Discuss how the international trade system, economic, political-legal, and cultural environments affect a company’s international marketing decisions. Describe three key approaches to entering international markets. Explain how companies adapt their marketing mixes for international markets. Identify the three major forms of international marketing organization.

Add a comment

Related presentations

Related pages

international acquisition.ppt PPT Powerpoint Presentations ...

international acquisition.ppt - PPT slides, PowerPoint presentations for download - ... secured domestic area in international commerce legally outside a ...
Read more

Ppt Visual-basic-from-10-to-15-slides | Powerpoint ...

View and Download PowerPoint Presentations on VISUAL BASIC FROM 10 TO 15 SLIDES PPT. Find PowerPoint Presentations and Slides using the power of ...
Read more

Kotler Keller 15 - Wright State University

Title: Kotler Keller 15 Author: Tracy Tuten Ryan Last modified by: Patty Pendergast Created Date: 4/2/2006 5:59:30 PM Document presentation format
Read more

Chapter Fifteen | Many PPT

Chapter Fifteen:? 2007 Thomson, a part of the Thomson Corporation. Thomson, the Star logo, and Atomic Dog are trademarks used herein under license.
Read more

Basic Marketing - Umair Awan - Google Sites

Basic Marketing. Marketing is the process by which companies determine what products or services may be of interest to customers, and the strategy to use ...
Read more

Ppt Integrated-promotion-decisions | Powerpoint ...

View and Download PowerPoint Presentations on INTEGRATED PROMOTION DECISIONS PPT. Find PowerPoint Presentations and Slides using the power of XPowerPoint ...
Read more

Chapter Fifteen | PPT Directory

Chapter Fifteen: ? 2007 Thomson, a part of the Thomson Corporation. Thomson, the Star logo, and Atomic Dog are trademarks used herein under license. All
Read more

Designing and Managing Integrated Marketing Communications ...

Designing and Managing Integrated Marketing Communications 17-4 . What are Marketing Communications? Marketing communications are the means . by which firms
Read more

Excess And Obsolete Inventory Reserve PPT - Ebook Market

Excess And Obsolete Inventory Reserve downloads at Ebookmarket.org - Download free ppt files,ebooks and documents - OM& Who’s part is it anyway? - USCG
Read more